An increase in domestic borrowing to finance the increased budget deficit in Russia is more profitable than spending from the National Wealth Fund (NWF) because of the need to convert currencies, said Deputy Finance Minister Vladimir Kolychev. According to him, the gross domestic borrowing in 2020 will amount to 5 trillion rubles. This is more than twice the planned 2.3 trillion rubles. From the NWF, the Ministry of Finance intends to spend 250–300 billion rubles this year.
In 2021, the Ministry of Finance is also going to increase the planned amount of borrowing in order to compensate for the shortfall in budget revenues, but these loans will be significantly less than this year, Mr. Kolychev said. According to him, the current budget rule provides for a gross amount of borrowing of 2.7 trillion rubles. next year.
“Probably the volume of non-oil and gas revenues (in 2021.— “B”) will be lower than we originally planned. And now the question is being discussed that partially this gap will be covered by borrowings. How much is this, I’m not ready to say. Closer to September, when the macro forecast parameters are finalized and, accordingly, their impact on income, we will understand this volume. But it will definitely be much less than 5 trillion rubles, ”Vladimir Kolychev said at a briefing (quoted from Prime).
According to the deputy head of the Ministry of Finance, the anti-crisis package, adopted in connection with the coronavirus pandemic, as a whole “weighs” about 4 trillion rubles. direct additional budget costs. The agency intends to cover these costs as follows: 1.1 trillion rubles — income from the purchase of shares of Sberbank by the government; 1 trillion rubles – redistribution of funds within the budget; the rest is additional borrowing. According to Vladimir Kolychev, the federal budget deficit in 2020, taking into account anti-crisis measures, will not exceed 5% of GDP.
For more information about the anti-crisis plan of the government, see Kommersant’s article, “You Live Greatly.”